Jets, MTA jointly agree to arbitration on price of stadium site

February 01, 2005

Jets, MTA jointly agree to arbitration on price of stadium site
http://www.crainsny.com/news.cms?id=9836

Crains NY Business

The New York Jets and the Metropolitan Transportation Authority agreed
Tuesday to have former U.S. Sen. George Mitchell arbitrate the ir dispute
over the value of the development rights to build a West Side Stadium. The
move came after negotiations had reached a stalemate.

The Jets have appraised the development rights at $35 million, although
they had offered to pay the MTA $100 million. The MTA, which owns the
Hudson rail yards, most recently appraised the rights at a reported $300
million.

The proposed $1.7 billion project--part of a broader West Side development
plan--would be build on a platform over the rail yards. Mayor Michael
Bloomberg has said repeatedly that the new stadium is crucial to city's bid
to host the 2012 Olympics. The Jets say they will invest $800 million into
the project, and cover any cost overruns. The city and state would
contribute a total of $600 million.

Senator Mitchell's decision will be binding.